Oil Prices Tumble as Investors Fear Major Glut

Oil futures declined nearly 2% on Monday after a new report suggested that there could be another major oil glut coming to markets soon. The Turkish military’s failed coup attempt last week, which could have destroyed pipelines and disrupted shipments, helped avoid further losses for oil.

August West Texas Intermediate crude tumbled $0.76, or 1.65%, to $45.19 per barrel on the New York Mercantile Exchange at 17:00 GMT on Monday.

September Brent crude also slid $0.77, or 1.62%, to $46.84 a barrel on London’s ICE Futures exchange.

According to a report from market intelligence firm Genscape, the Cushing, Oklahoma delivery hub for US crude futures experienced a supply increase of 26,460 barrels last week. Meanwhile, another report found that the demand for fuels, like gasoline and diesel, have been sluggish.